Abans Finance ranked No. 1 Best Performing Finance Company by K Seeds Investments

Chairman K.J.C. Perera

Abans Finance PLC has been recognised as the Best Performing Finance Company in the Third Category among 30 listed finance companies in Sri Lanka, according to the 22nd issue of the quarterly financial performance ranking published by K Seeds Investments, based on financial results for the fourth quarter of FY 2025/26.

The ranking evaluated finance companies based on their asset base and assessed performance within respective categories using ten key financial performance indicators, including cost-to-income ratio, net profit margin, impairment to loan book, return on equity, return on assets, net interest margin, deposit growth, loan growth, operating leverage, and net profit growth. Abans Finance PLC secured the No. 1 position in Category 3, comprising companies with an asset base between Rs. 20 billion and Rs. 50 billion, emerging as the best-performing finance company in its category.

Abans Finance PLC Deputy Chief Executive Upul Gunasekara said, “This recognition by K Seeds Investments reflects the dedication and commitment of our employees, the trust and confidence placed in us by our customers, strengthened by the stability and legacy of the Abans Group, and the continued support of our shareholders. We remain committed to achieving sustainable growth through responsible financial management, innovation, and customer-focused financial solutions while contributing to the long-term development of Sri Lanka’s financial services sector.”

As a member of the Abans Group, a diversified conglomerate with operations across seven business sectors, Abans Finance benefits from the strength of the wider Group. This affiliation reinforces the Company’s financial resilience, while enhancing stakeholder confidence, enabling it to leverage the strengths of a diversified business ecosystem and delivering sustained value.

During the fourth quarter of FY 2025/26 (1 January – 31 March 2026), Sri Lanka’s finance company sector demonstrated strong growth momentum, driven by increased demand for vehicle leasing, asset-backed lending, gold-backed lending, retail financing, and SME lending solutions. Credit expansion recorded notable year-on-year growth, supported by renewed customer demand for secured financial products.

The gradual reopening of vehicle imports created new opportunities for leasing and vehicle financing companies; however, affordability challenges arising from higher vehicle prices, exchange rate movements, and interest rate sensitivity remained key considerations. While the prevailing interest rate environment supported credit growth and improved borrowing activity, external factors including global economic uncertainties, inflationary pressures, energy price fluctuations, currency movements, and evolving regulatory requirements continued to require close monitoring.

Amid this favourable yet challenging market environment, Abans Finance PLC continued to strengthen its market position by expanding its lending footprint across multiple sectors and regions while maintaining healthy liquidity, strong asset quality, and prudent risk management practices. Strategic investments in technology, process improvements, and customer experience initiatives further enhanced operational efficiency and service delivery.

The Company also remained focused on addressing industry challenges, including increasing competition within the financial services sector, pressure on lending margins, changing customer expectations, rising operational costs, and the need to continuously adapt to evolving regulatory and economic conditions. Through sustainable growth strategies, innovation, and customer-centric financial solutions, Abans Finance continued to create long-term value for customers, shareholders, and other stakeholders.

Against this backdrop, Abans Finance PLC delivered an exceptional financial performance during the fourth quarter of FY 2025/26, recording revenue of Rs. 1.37 billion and a profit after tax of Rs. 334.9 million, representing an outstanding 185.58% year on year growth in profitability. The Company maintained a robust asset base exceeding Rs. 20.8 billion while achieving 10.71% year-on-year growth in its loan portfolio, supported by the successful execution of its strategic expansion initiatives.

The Company’s strong financial fundamentals were further reflected in its industry-leading profitability and operational performance, recording the highest Return on Equity (8.19%), highest Return on Assets (1.72%), and highest Net Profit Margin (24.39%) among Category 3 listed finance companies, while maintaining a healthy Cost to Income Ratio of 41.07%. These performance indicators underscore Abans Finance’s disciplined cost management, efficient capital utilisation, and sustained ability to generate superior shareholder value, reinforcing its position as one of Sri Lanka’s best performing listed finance companies.

The Company’s performance was further strengthened by its continued focus on customer-centric financial solutions, prudent risk management, operational excellence, digital transformation, and expansion across key business segments. Through the growth of its leasing, fixed deposit, savings, gold loan, and SME financing portfolios, Abans Finance PLC further reinforced its position as a trusted financial partner for individuals and businesses across 

Sri Lanka.